Bank of America admitted having sold billions of dollars of risky - TopicsExpress

Bank of America admitted having sold billions of dollars of risky mortgage-backed securities while concealing key facts about the quality of the underlying loans. It also admitted to having made misrepresentations to Fannie Mae and Freddie Mac about the quality of loans sold to those government-controlled mortgage companies. The accord also does not cover potential criminal claims or claims against individuals. The $16.65 billion settlement eclipses the respective $13 billion and $7 billion accords that JPMorgan Chase & Co and Citigroup Inc recently reached to resolve similar claims.

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